Proof of Work (PoW)
By CoinGecko | Updated on Mar 03, 2020
An algorithm that rewards the first person that solves a computational problem (i.e. mining) to achieve distributed consensus. Miners compete to solve difficult cryptographic puzzles in order to add the next block on the blockchain. It prevents spam and cyber attacks such as DDoS as it requires work (i.e. processing time) from the service requester.
Related Terms
Block
In the context of blockchain, block refers to the collection of transactional data or information that are bundled together in a predetermined size.
InterPlanetary File System (IPFS)
The InterPlanetary File System (IPFS) is a peer-to-peer network and distributed file system protocol for storing and transferring data.
Degen
Cryptotrading without Due Diligence and research - basically gambling
Protocol
The set of rules in a network in which participating members comply to allow proper communication.
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